Jakarta – Image credit: Tom Fisk/Pexels
The iPhone 16 is not allowed to be sold in Indonesia, with the sales ban triggered by a lack of investment by Apple into the country.
On October 11, it was warned that Apple faces the prospect of a sales ban in Indonesia, if it didn’t manage to renew a content requirements certification in time. A few weeks later, that ban has become a reality.
“Imported iPhone 16 hardwares cannot be marketed in the country, because Apple Indonesia has not fulfilled its investment commitment to earn a local content certification,” said industry ministry spokesperson Febri Hendri Antoni Arief on Friday to Reuters.
Under Indonesia’s laws, some smartphones sold in the country must contain at leats 40% of parts manufactured locally, referred to as the Domestic Component Level.
This can be accomplished via direct manufacturing of components, but it can also be reached via other methods. This includes manufacturing schemes, app development, and an innovation development scheme.
To meet the level required for TKDN certification in the past, Apple relied on making investments through the innovation development scheme, which involved the creation of Apple Academies. As of October 11, this had involved 1.48 trillion rupiah ($94.5 million) in investment, below the 1.71 trillion rupiah ($109.6 million) Apple had previously committed to.
Under the sales ban, consumers won’t be able to be sold iPhones within the country. However, they could still leave the country and buy it elsewhere for personal use, then pay the required taxes to bring it back home.
